Volatility
(noun)
- The tendency of a financial market, security, or currency to experience rapid and unpredictable changes in value.
- The quality or state of being subject to rapid and often unpredictable change, fluctuations, or instability.
Origin:
Derived from the latin word volatilis, meaning flying or fleeting, combined with the suffix -ity, meaning the state or condition of.
Examples:
- The stock market experienced high volatility due to the global economic uncertainty.
- The cryptocurrency market is known for its high volatility, with prices often experiencing significant swings in a short period of time.
- The government's fiscal policies were criticized for adding to the volatility of the economy.
- The volatility of oil prices was a major concern for the energy industry and governments alike.
- The company's financial performance was negatively impacted by the volatility of the exchange rate.